HDBank offers incentives to women-owned businesses

October 19, 2022 - 22:19
When they need capital, the majority of women-owned SMEs first seek a bank loan as a safe and reliable source, according to the Asian Development Bank (ADB).


An HDBank transaction office in HCM City. The bank has rolled out the ‘Great incentives for women-owned businesses’ programme. — Photo courtesy of HDBank

HCM CITY — When they need capital, the majority of women-owned SMEs first seek a bank loan as a safe and reliable source, according to the Asian Development Bank (ADB).

According to statistics from the Enterprise Development Agency under the Ministry of Planning and Investment, women own 24 per cent of the 850,000-odd businesses in Việt Nam, the highest rate in the Southeast Asia region.

The development of the private sector has contributed to empowering women to pursue and advance their careers.

The incidence of women holding senior leadership positions in the private sector is becoming increasingly common.

The development of women-owned small and medium-sized enterprises plays an important role in creating jobs, generating incomes, empowering women, and enabling gender equality.

In the context of the marketplace becoming a battlefield and the increasing number of competitors, women entrepreneurs need to adapt and constantly keep pace with the demands on their creativity and innovation.

The gender advantage has helped them greatly in enhancing their competitiveness, management and governance while their business activities often reflect humanity and focus towards sustainability.

Bank with best financial solutions for women entrepreneurs

A survey done by the ADB shows that 85 per cent of surveyed women have personal or corporate accounts, and commercial banks are the most reliable source of capital for women entrepreneurs.

When they need capital, the vast majority of women-owned SMEs (80 per cent) seek a bank loan.

But an International Finance Corporation survey shows most banks have not considered adopting a separate strategy for the women-owned SME segment.

Most banks either see no need for a different approach to women entrepreneurs or view the segment as less profitable, the survey found.

As a bank renowned for pioneering specialised customer services, HDBank fully understands the need for women entrepreneurs to access reliable capital sources. It has tweaked its lending programmes and promoted the lending mechanism for women-owned businesses, helping them proactively address their internal difficulties.

This year HDBank has a financing programme worth VNĐ1.25 trillion (US$51.3 million) dedicated to women entrepreneurs around the country.

Under it, from October 2022 micro, small and medium enterprises owned by women can get loans at preferential interest rates from just 9 per cent for tenors of up to five years from the bank.

With this preferential credit package, HDBank expects to contribute to helping women entrepreneurs overcome barriers in terms of social prejudices, gender stereotypes and doubts about their ability to successfully run a business.

‘Great incentives for women-owned businesses’

HDBank has a programme called ‘Great incentives for women-owned businesses’ worth VNĐ1.25 trillion starting on October 2022 with a focus on providing preferential loans to micro, small and medium-sized enterprises owned by women across the country.

Previously it offered attractive incentives to women entrepreneurs and SME owners, and consultancy for financial and risk management tailored to each stage of business development.

To get credit under the Great incentives for women-owned businesses programme, enterprises should have at least 51 per cent of their charter capital owned by women or satisfy the following criteria: women own at least 20 per cent of the charter capital, hold an executive or senior management position and make up at least 30 per cent of the board of directors.

HDBank also offers businesswomen an HDBank BeMax account package that waives fees for money transfer, salary payment and eCMB digital financial tools at https://ecmb.hdbank.com. VN/.

Businesses that register to open a new account are also offered a fee preferential package up to VNĐ10 million ($410). — VNS